KaliYuga on Nostr: The New-Yorker example makes sense and I fully agree with the general idea of ...

The New-Yorker example makes sense and I fully agree with the general idea of deflationary technology, but it can't be extended to every product and service. Technology by itself will not make everything cheaper.

Just look at a car made in the 60s and compare it to a current car. Sure, there's a tremendous amount of productivity stolen by inflation. But there're also safety improvements (ABS, airbags, structural design,..), regulatory changes ("safety", fuel efficiency,...), and hedonistic enhancements (AC, better seating, multimedia,...).

The same goes for houses.

The function has not changed though: drive from A to B for a car and shelter for a house.

Eventually, even if salaries had followed inflation, cars and houses have become less affordable for the average family.